Search found 236 matches

by Investing is boring
Tue Oct 08, 2013 8:07 am
Forum: Personal Investments
Topic: Your opinion about diversifying a 100% muni-bond portfolio?
Replies: 29
Views: 2973

Re: Your opinion about diversifying a 100% muni-bond portfol

Personally, I would take the 25% and invest in Vanguard Total World ETF and call it a day.
by Investing is boring
Tue Oct 08, 2013 8:04 am
Forum: Investing - Theory, News & General
Topic: Why the currency concern over too much foreign holdings?
Replies: 71
Views: 7160

Re: Why the currency concern over too much foreign holdings?

My view is that we continue to move towards "one world." I may live overseas for a while, likely EU. I may not. Either way, I certainly will or can have expenses in non-dollar terms. Maybe the euro crumbles and I go buy a condo on the beach in Spain? That covers the need for shelter. Maybe I just take some holidays. Anyway, I get my currency diversification from my 36% total allocation to International Equities/REIT's. If the international bond offering from Vanguard starts to yield more then domestic, I will start to wade into it. Place your bets and take your chances.
by Investing is boring
Mon Oct 07, 2013 7:11 pm
Forum: Investing - Theory, News & General
Topic: SIMPLE IRA question for Backdoor ROTH
Replies: 6
Views: 746

Re: SIMPLE IRA question for Backdoor ROTH

tludwig23 wrote:I set up a solo 401k for my wife through Vanguard. It really wasn't that much paperwork.
Thank you for this. The Vanguard guy said I needed to fill out about 40 pages of forms, form an LLC or other legal entity, get a tax ID #, etc. After reading this I called TD Ameritrade, who I have a brokerage with. Three forms and 15 minutes on the phone later and I am done.

The Vanguard guy also told me that I can do both a SIMPLE IRA and a Tradtitional IRA.. Poor training I guess.
by Investing is boring
Mon Oct 07, 2013 12:21 pm
Forum: Investing - Theory, News & General
Topic: SIMPLE IRA question for Backdoor ROTH
Replies: 6
Views: 746

SIMPLE IRA question for Backdoor ROTH

My wife is a Realtor. I am considering opening a SIMPLE IRA for her. We also each do a Backdoor ROTH conversion from a Traditional IRA each year. My understanding after talking to Vanguard is that having a SIMPLE IRA will in no way impact our ability or tax liability in doing the typical Backdoor ROTH conversion.

Is a SIMPLE IRA the way to go here? i401k seems to be a huge amount of paperwork, so I would prefer to keep things... well... simple.

Other thoughts?
by Investing is boring
Mon Oct 07, 2013 11:33 am
Forum: Investing - Theory, News & General
Topic: "Asset Dedication" retirement portfolio strategy
Replies: 9
Views: 1534

Re: "Asset Dedication" retirement portfolio strategy

I like liability matching strategy using TIPS and iBonds (potentially EE bonds) ladder to get you from early retirement to maximum SS age. Then if needed, buy a SPIA to augment. I buy $20k in iBonds per year which supports: - EF - Portion of College Savings for future kids - Baseline for liability matching If rates start to move up, I will do a number of years of EE bonds to lock in the age 60 - 70 range. At current rates (doubling in 20 years), I still have 6 years before I would begin contributing to EE bonds - and then only contribute for 10 years. I also have an old 401k with $100k in it that I wont roll over because it would block my Backdoor Roth access. Currently I use it to balance out my AA, which means it holds a lot of REIT's, sm...
by Investing is boring
Fri Oct 04, 2013 10:44 am
Forum: Personal Investments
Topic: Home Equity in AA
Replies: 36
Views: 3031

Re: Home Equity in AA

The interesting thing about these replies is that not one has addressed the specific circumstances I outlined. All replies have been either "here is what I do" or boilerplate "here is the standard advise." This leads me to question the efficacy of all advice given. Unless of course individual circumstance should in no way change the boilerplate response in the minds of those on this forum. OK, here's what I am doing that you might find useful. Not boilerplate, and not single AA across my life. I borrowed from my 401(k), selling TBM in there, to pay down my mortgage and enable a refinance. In my spreadsheet, it's a loan from my retirement portfolio to my house portfolio, treated as a zero-duration bond. If you're willing...
by Investing is boring
Fri Oct 04, 2013 10:14 am
Forum: Personal Investments
Topic: Home Equity in AA
Replies: 36
Views: 3031

Re: Home Equity in AA

Investing is boring wrote: The interesting thing about these replies is that not one has addressed the specific circumstances I outlined. All replies have been either "here is what I do" or boilerplate "here is the standard advise." This leads me to question the efficacy of all advice given. Unless of course individual circumstance should in no way change the boilerplate response in the minds of those on this forum. It appears to me that you simply don't like the answers. You asked for opinions, and that is what you received. Opinions can take the form of examples, standard advice, or specific advice related to your situation. Your situation is covered by standard advice because it's not unusual, and you don't actually ...
by Investing is boring
Fri Oct 04, 2013 9:41 am
Forum: Personal Investments
Topic: Home Equity in AA
Replies: 36
Views: 3031

Re: Home Equity in AA

If the interest rate on your mortgage is lower than what you can get in reasonable FI, then you won't want to pre-pay the mortgage. If the interest rate on your mortgage is higher than what you can get in reasonable FI, then it is probably time to refinance. So the situation where you want to pre-pay your mortgage instead of buying FI is just not common. I'd say you can probably ignore it. I'd just set myself for a 15 year mortgage, 20% down payment and stick to that schedule and consider the purchase as part of the budget, not part of your AA. Vanguard Total Bond is yielding ~2% and 10 year treasuries ~2.5%. And that's up some from where it was. Are there really mortgage rates that low? Why would lenders lend money at a rate lower than th...
by Investing is boring
Fri Oct 04, 2013 9:38 am
Forum: Personal Investments
Topic: Home Equity in AA
Replies: 36
Views: 3031

Re: Home Equity in AA

So it's not clear how to count your house (because it doesn't work like other assets), but whatever you do for your house, there is a natural way to count the mortgage. If the state must pay you $1000 per month for the next 30 years, that would be a bond portfolio. If you must pay the bank $1000 per month for the next 30 years, that would be a negative bond portfolio. Therefore, your asset allocation should be the same whether you have a $200,000 mortgage and $200,000 in a long-term municipal-bond fund, or no mortgage and no municipal-bond fund. (You might prefer to keep the bond fund, either for tax reasons or because you want the liquidity, but your bond allocation determines the effect of changing interest rates on your portfolio.) Prec...
by Investing is boring
Fri Oct 04, 2013 7:46 am
Forum: Investing - Theory, News & General
Topic: Calpers Embraces Indexing
Replies: 19
Views: 3230

Re: Calpers Embraces Indexing

I think the key word here is "embrace". Calpers has not stated that it will only use indexing - in their words: Calpers will use index tracking strategies where we lack conviction or demonstrable evidence that we can add value through active management. So, this raises the question: where do they lack this conviction? I dont think that is the right question. The right question is "what qualifies as demonstrable evidence"? There is enough research to clearly eliminate active management of equities and bonds as having evidence of value add from active management. That likely leaves only Private Equity deals, large real estate transactions, etc. It will be interesting if their charter requires "demonstrable evidence&q...
by Investing is boring
Fri Oct 04, 2013 7:37 am
Forum: Personal Investments
Topic: Home Equity in AA
Replies: 36
Views: 3031

Re: Home Equity in AA

I include the amount of mortgage I've paid off as part of my AA. Specifically, I include extra payments as if they were bonds. I use the regular 30 year amortization as my baseline. Basically, I printed out the original payoff schedule and any amount ahead of that I count as bonds. For rebalancing, I mainly rely on new contributions. I was aggressively paying off the mortgage until 2008 then switched to paying the minimum and loaded up on stocks. I also keep a small amount of bonds to use for rebalancing. The strategy has worked great for me. Yup. This is exactly what I am looking at. The interesting thing about these replies is that not one has addressed the specific circumstances I outlined. All replies have been either "here is wha...
by Investing is boring
Thu Oct 03, 2013 12:56 pm
Forum: Personal Investments
Topic: Home Equity in AA
Replies: 36
Views: 3031

Re: Home Equity in AA

Think about it in terms of what the intention of the payment is for. If I use a 30-year mortgage as a baseline then the payment that would go towards a standard 30-year note isn't "saving" it's just meeting an obligation to have a place to live. I agree that the interest and taxes fit this description. But principle repayment, be it through the standard payment schedule or prepayment, is what I would question here. Anything extra paid towards principal is done so with the intention of reducing one's future obligations... of paying less future interest. IF I'm willing to commit to having the cash-flow of this reduction of future obligations sent to my retirement account in the future (so if I pay it off in 20 years instead of 30, ...
by Investing is boring
Thu Oct 03, 2013 12:50 pm
Forum: Personal Investments
Topic: Home Equity in AA
Replies: 36
Views: 3031

Re: Home Equity in AA

YDNAL wrote: Good luck, investing_is_boring.
Thank you. I will take that at face value vs assuming you are being sarcastic with no counter-point to offer.
by Investing is boring
Thu Oct 03, 2013 12:25 pm
Forum: Personal Investments
Topic: Home Equity in AA
Replies: 36
Views: 3031

Re: Home Equity in AA

So, you are 50 years old, with $1 million in investable assets and $1 million in home equity. *Your IPS* is then telling you that you should invest the investable assets in 100% Equities. Good luck with that! My suggestion is to avoid rationalizing "today" and look at the BIG picture instead. Here are a couple of quick thoughts: 1. One should ALWAYS include net worth in determining ability & need to take risk - which drive the decision to invest the investable assets. 2. One can't include home equity with investable assets because one can NOT rebalance using home equity. However, on current path at age 50 I am projecting a $5m net worth. Meaning in your example $2.5m in Equities, $1.5m in Bonds, $1m in Home Equity. Again, sca...
by Investing is boring
Thu Oct 03, 2013 11:25 am
Forum: Personal Investments
Topic: Home Equity in AA
Replies: 36
Views: 3031

Home Equity in AA

I have long been thinking about how to simplify decision making from a comprehensive view of my financial picture. Of course I have adopted the boglehead philosophy for investments of setting an AA based on need and ability to take risk, but I am always troubled by two things. 1) the exclusion of Emergency Fund or near term liquidity needs from the AA, 2) the exclusion of home equity from the AA. Today I run a 73/27 equity/FI split where I include my EF (ibonds) within FI as I calculate current position vs target. I am fortunate in that I have a large enough NW that I do not need to artificially skew my overall AA towards safety simply to support an EF. I am also not risk adverse, and at age 34 I am - by this calculation method - age -7 in ...
by Investing is boring
Tue Oct 01, 2013 2:08 pm
Forum: Investing - Theory, News & General
Topic: Where are all the gold bugs?
Replies: 10
Views: 1684

Re: Where are all the gold bugs?

technovelist wrote:The same place as the stock bugs were in 2008-2009.

They were all here telling each other and themselves to be calm and stay the course. Go back and look. I see none of that from the gold bugs. Lack of conviction maybe?
by Investing is boring
Tue Oct 01, 2013 2:03 pm
Forum: Personal Investments
Topic: Recently liquidated & gov't shutdown...sit tight or invest?
Replies: 21
Views: 3182

Re: Recently liquidated & gov't shutdown...sit tight or inve

InvestorNewb wrote:I just bought more shares today thanks to the dividends that were paid on September 27th.
You actually did not buy them today. They were purchased on the ex-dividend date. They showed up in your account today.
by Investing is boring
Tue Oct 01, 2013 1:15 pm
Forum: Investing - Theory, News & General
Topic: Where are all the gold bugs?
Replies: 10
Views: 1684

Where are all the gold bugs?

And here I thought government dysfunction is why you BUY gold? That or as predicted, the shinny rock isnt and investment, its a sales pitch.

http://www.cnbc.com/id/101077391
by Investing is boring
Tue Oct 01, 2013 10:14 am
Forum: Investing - Theory, News & General
Topic: Pension Funds and Investment Consultants
Replies: 1
Views: 437

Pension Funds and Investment Consultants

http://www.cnbc.com/id/101076386

Results of a study from 1999-2011 on the value of Investment Consultant recommendations to Pension funds: "The study demonstrates, perhaps for the first time, that the investment consultants that pension funds rely on to advise them about what funds and investments they should make — resulting in tens of millions of dollars in fees each year — are, as one of the authors of the survey says, "worthless.""

Not a surprise for anyone here I assume.
by Investing is boring
Tue Oct 01, 2013 7:33 am
Forum: Personal Investments
Topic: I-Bond Balance Unchanged
Replies: 5
Views: 1308

Re: I-Bond Balance Unchanged

Bustoff wrote:In January 2013, I purchased $10,000 of i-bonds through the TD site. Yesterday, I logged into the TD site to discover no change in my balance...it still shows my balance at the original $10,000. While I didn't expect to see much of an increase, a zero increase has me somewhat confused.
Click on the iBonds link from the front page of your Treasury direct account. For some reason the front page does not show changes in value, but when you get to the page witht he individual bond it does.
by Investing is boring
Mon Sep 30, 2013 2:00 pm
Forum: Investing - Theory, News & General
Topic: Taxable Investing eats away 60% of Potential Growth!?!?
Replies: 25
Views: 3927

Re: Taxable Investing eats away 60% of Potential Growth!?!?

I just re-read that you have debt. Can you share what the rate is on that debt?
by Investing is boring
Mon Sep 30, 2013 1:44 pm
Forum: Investing - Theory, News & General
Topic: Taxable Investing eats away 60% of Potential Growth!?!?
Replies: 25
Views: 3927

Re: Taxable Investing eats away 60% of Potential Growth!?!?

Look at iBonds and EEBonds. Great way to add nominal and inflation protected bonds, expand tax deferred space, allwith no principle risk. $10k per SS# per year for each of iBonds and EEBonds. You can get an additional $5k per year in iBonds from tax returns, but that is a bit pain and I don't bother with it.

I also add in intermediate term muni's into my taxable account to further lower my tax burden.

Good luck!

BTW: In most historical cases a 25% allocation to bonds both increases returns and lowers volatility.
by Investing is boring
Mon Sep 30, 2013 1:30 pm
Forum: Personal Investments
Topic: Should I load up my 529?
Replies: 6
Views: 1168

Re: Should I load up my 529?

529 beneficiaries can be changed. So you could always use the excess to send your grandkids to school. Or kids to an advanced degree. Plus you MAY get a tax break depending on your state of residence.
by Investing is boring
Mon Sep 30, 2013 1:23 pm
Forum: Investing - Theory, News & General
Topic: Taxable Investing eats away 60% of Potential Growth!?!?
Replies: 25
Views: 3927

Re: Taxable Investing eats away 60% of Potential Growth!?!?

By maxing out tax deferred space I assume you mean:

401k/403b
IRA
iBonds
EE Bonds
HSA (if applicable)
529 (if applicable)

Please confirm you are maxing all of these.
by Investing is boring
Mon Sep 30, 2013 9:48 am
Forum: Personal Finance (Not Investing)
Topic: Poll: $ monthly contribution to 529/college savings
Replies: 60
Views: 12612

Re: Poll: $ monthly contribution to 529/college savings

When we have kids in a year or so our plan is to buy a house and pay it off inside of 5 years, then max contribute to the 529 up to the limit of incurring gift tax. Since the 529 can change beneficiaries, after our kid('s) go to school, there should be money left over to take care of grandkids. At least that is the plan.
by Investing is boring
Mon Sep 30, 2013 9:40 am
Forum: Personal Investments
Topic: How Close Are You To Your Number and Financial Independence?
Replies: 71
Views: 9766

Re: How Close Are You To Your Number and Financial Independe

I am 34. It is silly for me to speculate on my progress with a 20 year horizon in front of me. If I make many many assumptions then in aggregate I am ~20% there. If historical performance continues, I am 100% of the way there and just need to survive the 20 years and retire. Its a total SWAG at this point.
by Investing is boring
Sat Sep 28, 2013 10:03 am
Forum: Personal Investments
Topic: Thoughts on real estate?
Replies: 10
Views: 1428

Re: Thoughts on real estate?

i posted earlier about cashing in my bonds. a friend of mine feels its best at this point to invest in hard assets like real estate. i really would like to buy a condo in my bldg but i dont feel ready to take on this responsibility and am worried about my job security. however, if i cash in my short term bond fund thats $20K and i could use that as a down payment. does this sound like a smart move? Any idea that starts with "my friend feels its best to invest in x" is bound for DISASTER. Even IF your friend GUESSES correctly, you wont have the conviction to stick to your plan through the inevitable ups and downs. That alone will kill your returns and amplify your risks. I think it is well beyond foolish for you to be considering ...
by Investing is boring
Fri Sep 27, 2013 12:04 pm
Forum: Personal Finance (Not Investing)
Topic: Student loan repayment plan
Replies: 20
Views: 2111

Re: Student loan repayment plan

Taking $200k of debt to get a job making $60k - $110k seems like a very poor financial decision. I would have to LOVE LOVE LOVE LOVE LOVE a profession to be willing to move forward with that.
by Investing is boring
Fri Sep 27, 2013 10:58 am
Forum: Investing - Theory, News & General
Topic: rising rates bad for REITS?
Replies: 19
Views: 2661

Re: rising rates bad for REITS?

larryswedroe wrote:investingisboring
The "easy" part is getting out---much harder to decide when to get back in as never a green light to tell you that. That's why it's so difficult
Best wishes
Larry
Yup. Thats why I put in the 5% dividend rule. Which would only work in REIT's given the 90% payout requirement.
by Investing is boring
Fri Sep 27, 2013 8:25 am
Forum: Investing - Theory, News & General
Topic: rising rates bad for REITS?
Replies: 19
Views: 2661

Re: rising rates bad for REITS?

investingisboring I not only agree with Bill but I wrote on that a while ago way to forecast REIT returns, take current div yield and SUBTRACT real growth in earnings of 1.5% (not add as would for stocks) Larry That was my take as well. After reading bernstien's post (which called the top in US REIT's) I did something that I havent done in the last 7 year. I changed my IPS, reducing REIT from 15% to 8% and shifting to 75/25 international/domestic REIT's. I darn near hit the top perfectly. I also added to my IPS a rule that I will not increase my REIT allocation until I see a 5%+ yield on the Vanguard US REIT (VNQ). Market timing? Yeah, probably. But the logic was so convincing I made the move, and saved a bunch of money in the process. :)
by Investing is boring
Wed Sep 25, 2013 1:41 pm
Forum: Personal Finance (Not Investing)
Topic: Young Guys [and Gals] Making Good Money
Replies: 242
Views: 36149

Re: Young Guys [and Gals] Making Good Money

Those that claim "luck" are the same that failed to have either the talent or drive to get where they wanted to go.

Their loss.
by Investing is boring
Wed Sep 25, 2013 1:37 pm
Forum: Investing - Theory, News & General
Topic: rising rates bad for REITS?
Replies: 19
Views: 2661

Re: rising rates bad for REITS?

Larry - I appreciate the note on correlations. However, in a broader analysis including fundamentals, Bill Bernstien suggested that REIT's have a very low future return when starting from today's dividend yields. If you haven't read his post, I will go dig it up and put a link here. Do you agree with Bill? Should we be looking at reducing US REIT exposure in favor of International REIT's based upon these fundamentals?
by Investing is boring
Tue Sep 24, 2013 1:43 pm
Forum: Investing - Theory, News & General
Topic: Shiller PE10 nearing nosebleed territory?
Replies: 322
Views: 47561

Re: Shiller PE10 nearing nosebleed territory?

It would also be interesting to plot the spread between PE and PE 10 over time. Then look at the predictive qualities of PE10 based upon its spread with PE.
by Investing is boring
Tue Sep 24, 2013 1:34 pm
Forum: Investing - Theory, News & General
Topic: Shiller PE10 nearing nosebleed territory?
Replies: 322
Views: 47561

Re: Shiller PE10 nearing nosebleed territory?

If you carefully read what I've posted, it clearly states that a higher P to E (you pick) means a change in expected "return" based on historical precedent. Please read the study by Cliff Asness, PhD that has looked into this historical relationship. There is a very specific table on this subject on page 3. The past doesn't predict the future, but it would be NO different than past Equity Risk Premium doesn't predict future ERP. Do you invest in Equities ? If so, why ? Thank you for the post. Yet again however, your evidence fails to account for 2009 and its impact on the data skew of the PE 10 metric. Has anyone done the math to see what PE 10 would be if you eliminated the black swan from the data set? If that were at 25, then ...
by Investing is boring
Tue Sep 24, 2013 1:27 pm
Forum: Investing - Theory, News & General
Topic: Shiller PE10 nearing nosebleed territory?
Replies: 322
Views: 47561

Re: Shiller PE10 nearing nosebleed territory?

My point is that there is no statistical basis for an argument that says that PE10 has predictive capabilities today. Yet somehow this board of generally rational people, who have spurned the notions of market timing and active management based upon statistically significant arguments, flock to this metric as if it held any meaning. Its... ironic. :oops:
by Investing is boring
Tue Sep 24, 2013 1:09 pm
Forum: Investing - Theory, News & General
Topic: Shiller PE10 nearing nosebleed territory?
Replies: 322
Views: 47561

Re: Shiller PE10 nearing nosebleed territory?

Whether we wish to recognize it or not, "as PE10 climbs above 25, 30, and so on," this return/risk equation HAS changed. This is a false assumption. Therefore, all answers based on this assumption are SWAG's. If one pays 15E (that's 2009 PE10 btw) - pick your "E" - and it "climbs above 25E (+67%), 30E (+100%), and so on" , the hoped-for return changes and the return/risk equation changes... NO assumption, boring !! Unless, that is, you believe this time "would be different." "False assumption" is a swag - otherwise you should be able to prove the assertion. Please point me to evidence where PE 10 predicted correctly the market direction, when the PE 10 included a major black swan event like...
by Investing is boring
Tue Sep 24, 2013 8:12 am
Forum: Investing - Theory, News & General
Topic: Shiller PE10 nearing nosebleed territory?
Replies: 322
Views: 47561

Re: Shiller PE10 nearing nosebleed territory?

YDNAL wrote:[*]Whether we wish to recognize it or not, "as PE10 climbs above 25, 30, and so on," this return/risk equation HAS changed.
This is a false assumption. Therefore, all answers based on this assumption are SWAG's.
by Investing is boring
Mon Sep 23, 2013 6:33 pm
Forum: Investing - Theory, News & General
Topic: Shiller PE10 nearing nosebleed territory?
Replies: 322
Views: 47561

Re: Shiller PE10 nearing nosebleed territory?

Well, I can say I'm handy with math, aware of the historic data yet not concerned. My opinion is that many of those that are sounding alarm bells are entering the investment purgatory of the semi-passive (aka a little knowledge is a dangerous thing). In thinking about PE10, it is in effect some form of fundamental market analysis. This is fine, but before I'm alarmed, I would have to dig deeper. - What is giving rise to the inflated level? Is it inflated growth expectations (tech bubble) or some disparity between current and past earnings (now)? - If it is an earnings disparity, are current earnings sustainable? - What role do interest rates play? While nominal rates are somewhat of a red herring, real rates are quite relevant. In my opini...
by Investing is boring
Mon Sep 23, 2013 6:27 pm
Forum: Personal Consumer Issues
Topic: Bogleheads, how do you search for a job?
Replies: 17
Views: 3734

Re: Bogleheads, how do you search for a job?

Boglenaut wrote:It's a lot of work, but I went through maybe a hundred company websites that specialized in what I wanted to do. I got a really good response rate after spending time to write customized e-mails to specific individuals (not HR or automated systems). From the subject and cover letter, they could tell right away it was not spam. Even ones without an opening took time to reply.

I get calls from LinkedIn sometimes, or job search boards. My last two jobs came from Monster. My wife got hers when they saw her on LinkedIn.
Let me add 2.

- Network with colleagues (linked in helps)
- Keep a log of recruiters who reach out to you

These 3 things will get you a job.
by Investing is boring
Mon Sep 23, 2013 4:21 pm
Forum: Personal Finance (Not Investing)
Topic: Starting to tune out: Stupid or wise?
Replies: 13
Views: 1956

Re: Starting to tune out: Stupid or wise?

The only thing I would say is to give back. I think it is fair that you teach for at least as much time as you have spent here learning.

And by the way... there are gem's every now and then even for the know-it-all's like me.
by Investing is boring
Mon Sep 23, 2013 4:15 pm
Forum: Personal Investments
Topic: Just bought a house, now what?
Replies: 15
Views: 2749

Re: Just bought a house, now what?

Cucumbers wrote:Please excuse my ignorance... but how and where do I purchase I-bonds? Are there different types to consider? Thanks!
Not ignorant at all. I did not know about ibonds until I joined this forum. Here you will find all you need to know about ibonds. Please ask any follow up questions

http://www.bogleheads.org/wiki/IBond
by Investing is boring
Mon Sep 23, 2013 4:03 pm
Forum: Personal Finance (Not Investing)
Topic: Young Guys [and Gals] Making Good Money
Replies: 242
Views: 36149

Re: Young Guys Making Good Money

I do not feel that things like strategy or operations are worthwhile classroom learning material. They tend to be highly company-specific. I feel that sitting around doing case studies is not worth an additional $50k if I'm paying for it myself. I will address just this one issue. Strategy is something that must be practiced. An understanding of what Strategy is, and is not, coupled with a workable framework will deliver to you the tools necessary to begin to apply strategy to your particular situation. I am a boglehead because of strategy. I am one of the youngest ever at my company to be promoted to my current role, because of strategy. Its fine that you dont want to go to school for it. But learn the skill to view the corporate world th...
by Investing is boring
Mon Sep 23, 2013 3:35 pm
Forum: Personal Finance (Not Investing)
Topic: Young Guys [and Gals] Making Good Money
Replies: 242
Views: 36149

Re: Young Guys Making Good Money

[I wonder if that attitude carries over to how you are perceived at the workplace. If you feel or think that some tasks are just "fluff" that may tarnish your reputation a bit, don't you think? Why don't you view the courses as a learning experience and LEARN from it, rather than just think of it as a waste of time? I'm not a hiring manager, but if I were, I'd like to separate the wheat from the chaff - sometimes having to complete fluffy tasks or menial tasks come part and parcel in reaching for the bigger goal. Those who show a lack of interest or look to cut corners would be the first ones eliminated. I don't care how many initials or credentials you have next to your name. You passed a multiple part written test, the real tes...
by Investing is boring
Mon Sep 23, 2013 3:28 pm
Forum: Investing - Theory, News & General
Topic: Advisers Are Dead Even On Market Timing
Replies: 12
Views: 1825

Re: Advisers Are Dead Even On Market Timing

Bradley wrote:
Investing is boring wrote:This covers 1-week periods. It would be interesting to see: 1-month, 3-month, 6-month, 1 year, 3 year as well.
Total market as measured by VTI has outperformed the S&P over the past 10, 5, 3 and one year periods.

Thanks. But this has nothing to do with the question. The question related to advisor predictions. The study covers 1-week intervals and show that advisors have no predictive ability from week to week. I am asking about longer intervals, and do we see the same correlations.
by Investing is boring
Mon Sep 23, 2013 3:23 pm
Forum: Investing - Theory, News & General
Topic: Advisers Are Dead Even On Market Timing
Replies: 12
Views: 1825

Re: Advisers Are Dead Even On Market Timing

This covers 1-week periods. It would be interesting to see: 1-month, 3-month, 6-month, 1 year, 3 year as well.
by Investing is boring
Mon Sep 23, 2013 3:01 pm
Forum: Investing - Theory, News & General
Topic: A "good" article from CNBC
Replies: 10
Views: 2452

A "good" article from CNBC

http://www.cnbc.com/id/101055408

Save + have a plan + stay the course = millionaire

Or at least thats what the study shows. Now if only there were a resource on the internet espousing these virtues for the layperson...
by Investing is boring
Mon Sep 23, 2013 2:46 pm
Forum: Investing - Theory, News & General
Topic: Shiller PE10 nearing nosebleed territory?
Replies: 322
Views: 47561

Re: Shiller PE10 nearing nosebleed territory?

I find strange two points:

1: if bogleheads are against market timing, why such an interest in "valuations"?
2: if bogleheads are so good at math, why do we continue to ignore a multiple sigma deviation in our 10 year "smoothing" for PE/10 - the implication being an artificially inflated PE/10 relative to the time period for which its predictive ability has been validated?

My answer to both: boredom.

Nothing else makes sense in a forum of rational thinking people.
by Investing is boring
Mon Sep 23, 2013 2:09 pm
Forum: Personal Finance (Not Investing)
Topic: Young Guys [and Gals] Making Good Money
Replies: 242
Views: 36149

Re: Young Guys Making Good Money

If you don't sell you're going to lose that $170k job. ... and get a new one within a month. I get 5-10 recruitment attempts per month. Mostly through Linked in. I also have plenty of relationships that would jump at the chance to bring me on. If I lost my job tomorrow, within a month I would have one that pays nearly the same or more. Can you say that about engineer's in the dot com era? What about today? Not likely, unless you are in a super hot field like Hadoop. And of course, when the Hadoop hype fades in a year or two, the firings begin anew. In my experience, good SW engineers can find another job pretty fast too... How do you guys sell stuff you barely understand? (Since you're obviously not tied to knowledge in a super hot field l...
by Investing is boring
Mon Sep 23, 2013 2:01 pm
Forum: Personal Finance (Not Investing)
Topic: Young Guys [and Gals] Making Good Money
Replies: 242
Views: 36149

Re: Young Guys Making Good Money

You may be on to something here... This is why I started the thread. Something just didn't feel right. I'm from a working class family background, so I've had to rely solely on myself and have pretty much just been taking shots in the dark career and education wise for my entire life. This will help me develop a more targeted approach. I may not have made the best decisions but certainly there are worse things than being employed, with a graduate degree. Ok. here is the best short advise I can give. To be successful a person or business needs: - Vision - Strategy - Plan - Execution The first two are the domain of upper management, who's ranks you get to enter by demonstrating a competency and willingness to be mentored on how to produce a ...